Universities menace budget degree rivals

The Office of Fair Trading has been asked to investigate claims that low-cost colleges are being pressured into charging £9,000 a year

The University of Central Lancashire has been accused of pressurising 23 colleges (Alamy)

Universities are facing demands for an investigation by the competition
authorities after apparently putting pressure on low-cost colleges not to
undercut their tuition fees.

Many further education colleges are planning to offer degree courses for far
less than the £9,000 a year being charged by most universities from 2012.

However, some of the universities that certify the colleges’ courses have
written to them strongly suggesting that they should not sell degrees at
bargain prices, even if their costs are low enough to enable this.

The apparent move to influence colleges has led to demands for the Office of
Fair Trading (OFT) to investigate.

Graham Stuart, Conservative chairman of the Commons’ education select
committee, said: “Colleges have told me universities are trying to control
their behaviour to protect their own position. I would expect the OFT to
investigate this thoroughly if the evidence is there.”